Bob's Farm Rental and Party Supply posted an EBIT of $45,000 and has no investments in working capital or assets. Shareholders are requiring a return of 22%. Calculate the value of the company. Assume a tax rate of 15%
A) $204,545
B) $173,864
C) $300,000
D) $234,000
E) $217,865
A
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Assume the indirect method is used to compute net cash flows from operating activities. For this item extracted from the financial statements—Increase in Income Taxes Payable—indicate the effect on net income in arriving at net cash flows from operating activities by choosing one of the following:
a. Add to net income to arrive at net cash flows from operating activities b. Subtract from net income to arrive at net cash flows from operating activities c. Not used to adjust net income to calculate net cash flows from operating activities
The best estimate for the time required to complete a project task is known as ________.
Fill in the blank(s) with the appropriate word(s).
Why are capital budgeting decisions among the most important decisions made by any company? Give a few examples from recent business developments
What will be an ideal response?
In comparison with active voice, passive voice:
A. reveals the doer of an action. B. subordinates an unpleasant thought. C. reinforces finger-pointing. D. conveys ideas more vividly.